The state power regulator, the Maharashtra Electricity Regulatory Commission (MERC) has directed that Maharashtra State Electricity Board (MSEB) to pare its transmission and distribution losses to 26.89% from the present 31.87%.
MERC has contended that this will enable it to garner additional revenue to the tune of Rs 600 crore. The commission has stated this in its order issued on 28 April, 2000. In the order, MERC has shown down MSEB's proposal to hike tariff by 18.9% and had allowed only an increase of 6.5%.
MERC has also directed MSEB to beef up the metering process in the state. It has ordered that MSEB should embark on a meter installation programme so that all consumers can be metered within a period of three years. MERC has directed MSEB to prepare a master metering plan (MMP) within three months and submit to them.
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In a scathing indictment of the metering process in the state, the commission has said that more than 50 per cent of the metered consumers were being billed either on the basis of average or minimum charge.
"The commission will issue guidelines after going through the MMP and in the detailed tariff order to follow. In cases, where the flat rate tariff is being levied, MSEB will continue to bill at such rates as the commission determines till such time the meters are installed," the order said.
The commission is also of the view that it should improve its receivables position. It has made it clear that MSEB will have to publish the names of the 10 biggest defaulters in each category in a local newspaper and file a report enclosing these new clippings with the commission.
MERC has also ruled that MSEB shuld furnish data regarding the software technology park in the state. They can be supplied power at the average costs plus a small margin. The regulatory body has also made it clear that it intends to create a separate body of users called Public Institutions comprising zilla parishads etc.